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NEW QUESTION 31
In order to exercise due professional care as defined in the International Professional Practices Framework, an internal auditor should:
I. Consider the probability of significant noncompliance in each audit engagement.
II. Perform assurance procedures with sufficient care to ensure that all risks are identified.
III. Weigh the cost of assurance against the benefits.

• A. I, II, and III.
• B. I and II only
• C. II and III only
• D. I and III only

Answer: D

NEW QUESTION 32
After completing a net present value (NPV) calculation on a proposed project, an analyst explores the change in NPV with changes in the interest rate. This additional analysis is referred to as:

• A. Variance analysis.
• B. Simulation.
• C. Sensitivity analysis.
• D. Decision analysis.

Answer: C

NEW QUESTION 33
Which of the following would be an appropriate outcome of a quality assurance and improvement program in an internal audit activity?
- Modification of resources.
---
Corrections to procedures. Changes in processes. Implementation of new technology.

• A. 3 and 4 only.
• B. 1, 2, 3, and 4.
• C. 1, 2, and 3 only.
• D. 2 and 4 only.

Answer: B

NEW QUESTION 34
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